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Daejeon Chamber of Commerce and Industry Chairman Son Jong-hyun’s ‘Dae…

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댓글 0건 조회 215회 작성일 22-10-25 00:03

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Recently, about 500 members, including the Daejeon Economic and Social Organization Representatives Meeting, which consists of representatives of 63 economic organizations in Daejeon, and the Daejeon City Development Committee, have been calling for investment projects to revive the local economy.




The reason they took this action is largely due to concerns about a prolonged economic recession in Daejeon, where there is no particular positive for large-scale development. It is also attributable to the sense of crisis in Daejeon as the self-sustaining city of Sejong was built.




After the announcement of the investment project in Daejeon City, the members of the coalition issued a statement in late last month saying, “We welcome the decision of the largest investment project ever since.” This list of 63 regional representatives also includes Son Jong-hyeon (CEO Nam Seon Kigong), one of the five largest economic organizations in Korea, (Daejeon) Chamber of Commerce and Industry (hereafter, Daejeon).




There are lively debates in some areas, such as Daejeon's 'Sejong City Absorption Theory' and the more developed 'Growth into a Metro City'. DetNews 24 had a written interview with Son Jong-hyeon (65), chairman of the Daejeon Chamber of Commerce and Industry, the head of the regional representative economic group, and received advice on problems for regional economic development and the possibility of future development.




-You are in your second year in office, and if you diagnose the recent economic trend in Daejeon,




“As a result of a recent survey on corporate economic prospects for the second quarter of this year conducted by Daejeon Chamber of Commerce, many companies have expectations for a recovery in the local economy. Economic conditions are expected to improve from the second half of this year or the first half of next year at the earliest. However, as the economy slumped sharply due to the Sewol ferry disaster last month, companies cannot be optimistic about economic improvement. Despite the peak season from April to May, there are no signs of recovery in consumption in related industries such as tourism and transportation, as well as distribution and food service. Naturally, local small and medium-sized enterprises (SMEs) and small merchants are being hit hard. At this point, the government or local governments should come up with measures to improve consumer sentiment first.”




- Compared to other large cities, the advantages and disadvantages of Daejeon's economic structure are




“Compared to other cities, the proportion of the service industry is high. In addition, science and technology-related industries have developed in particular based on abundant research facilities and manpower. The number of venture-certified companies per 10,000 population is about 7, the highest among metropolitan cities. Therefore, if these industries, which have a high contribution to the local economy, are managed and nurtured, it will be of great help to job creation and revitalization of the local economy.”




“On the other hand, Daejeon has traditionally had a weak manufacturing base. Manufacturing workers account for only 12% of the total employment in the region. This raises the unemployment rate and is not good for the employment rate. Also, as of the end of 2012, Daejeon's gross regional product (GRDP) was the third lowest among 16 metropolitan organizations in Korea after Jeju and Gwangju. As such, the degree of economic independence of the region is low. In the end, it is necessary to develop a strategy to actively nurture the manufacturing industry such as information communication, biotechnology, and high-tech parts industries centering on the Daedeok Innopolis, and to expand the manufacturing base by attracting domestic and foreign funds and companies.”




-The manufacturing industry is shrinking internationally, and if you look at the overall manufacturing industry in the region or in Korea amid concerns about low growth in Korea




“With regard to the domestic manufacturing industry this year, many experts predicted that the situation would improve from the second half of the year in line with the economic recovery in advanced countries such as the US and EU and the hosting of the Winter Olympics and World Cup. However, there is concern that the economic downturn in the aftermath of the Sewol ferry disaster will adversely affect the outlook for the manufacturing industry in the future. However, there is ample room to reverse the atmosphere based on the strengthening of competitiveness of key export industries in the region, such as industrial machinery, electronic parts, and fine chemicals. However, we must continue to pay attention to and respond to major external variables such as exchange rate problems such as the strengthening of the won against the dollar and the weakening of the yen and competition with Chinese companies along with the economic recovery of emerging countries.”




- There are high voices of concern from all walks of life that Daejeon does not have large-scale development prospects. So, there were voices from local civic and social groups that large-scale investment projects should be promoted as soon as possible.




“It cannot be denied that large-scale investment projects such as the International Science Business Belt, Metro Line 2, Expo Re-creation Project, and Yuseong Complex Terminal will revitalize not only the construction and real estate markets but also the stagnant local economy. This is expected to make a significant contribution to job creation and economic revitalization. However, it is somewhat worrisome that there are various differences in stakeholder positions on local pending projects. The cooperation of local residents should be supported so that consensus can be formed through sufficient dialogue and agreement in advance, and related projects can be carried out smoothly.”




- Some criticize that Daejeon Sangsang does not know what to do in the area, not befitting its reputation as one of the five economic organizations in Korea. It's quiet, but what role or position do you have in the future?




“This year marks the 82nd anniversary of Daejeon Sangsang. It is the only and oldest comprehensive economic organization in the region. We are concentrating on creating an environment conducive to business and representing the rights and interests of the industry and industry. In the future, we will carry out more diverse business support projects to support corporate growth. We will actively respond to local issues. We will do our best to play a pivotal role in leading the development of the local economy.”




- Namseon Machinery Co., Ltd., the current CEO, was founded in 1950 and has grown into a third-generation machine tool manufacturer. Where to find future growth engines




“The reality is that most of the key parts necessary for manufacturing machine tools, such as precision measuring instruments and controllers, are imported. Machine tools are the root of domestic key industries such as automobiles, shipbuilding, and electronics. This is why government-level policy support is needed to induce the localization of machine tools and improve technological competitiveness. In addition, recent machine tool technology is evolving from simple processing to various fusion and complex processing technologies. In particular, I think the most ideal direction at present is to converge Korea's electrical, electronic and IT competitiveness with machine tools.”




-What do small and medium-sized enterprises in Daejeon need to do to grow?




“It is important to secure competitiveness through technology development. In this process, I hope that small and medium-sized enterprises (SMEs) that lack the budget and manpower themselves, take advantage of the support measures provided by the government, local governments, and corporate activity support organizations such as the Chamber of Commerce and Industry. At the same time, local governments should actively invest in R&D and venture nurturing, and continuously seek to help companies manage their business activities and provide various high-quality jobs by attracting companies.”




-Recently, the term 'Sejong City Black Hole' comes up. There are voices of concern that Daejeon will be subjugated, but the direction Daejeon should go in the future is




“Although there may be differences of opinion on the development of Sejong City, there is no disagreement that it contributes a lot to the balanced regional development by appropriately arranging the excessively concentrated population and industries in the metropolitan area. In fact, it appears that Daejeon, Cheongju, Cheonan, and other neighboring areas of Sejong City are helping to prevent population outflow and increase self-reliance as urban infrastructure such as transportation and housing develops at the same time. As there are various development opportunities such as the international science business belt and the Chungcheong region railway centering on Daejeon and Sejong City, it is necessary to prepare a central body for the development of the Chungcheong region by intensively demonstrating the regional capabilities.”




- What kind of efforts should the government make to create a ‘good environment for business’?




“A conducive environment for entrepreneurship can be created when SMEs solve the problems they face while pioneering promising fields and adding power to promising industries. Currently, SMEs are experiencing many difficulties both internally and externally, such as ordinary wages, household debt, and exchange rate problems. In addition, the government can induce the effect of financial support by distributing ordinary wage guidelines and providing consulting support, easing policy funding requirements and extending the principal repayment period. In addition, it is possible to secure external competitiveness by strengthening export marketing support for SMEs and improving non-price competitiveness. Active support should be given to discovering a cooperative model that enables large enterprises and SMEs to grow together. Businesses are at the forefront of a war without guns. Fraud is paramount. We need to promote stability through labor-management harmony.”

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